How can I process a refund check from a vendor when the refund is deposited along with other checks?

I've followed a few instructions to process a refund from a vendor, and am still a bit stuck about what to do about the actual refund deposit transaction that has downloaded from the bank. Sure I am misunderstanding something and hoping someone might be able to help.

I have received a refund from a vendor that we overpaid, in the form of a check which we have deposited along with a few other checks.

In QBO - I've created a Vendor credit for the refund amount, then created a deposit for that vendor set to accounts payable, and then used either Check/Expense/Pay Bills, to link the vendor credit to the deposit. That gives a zero balance transaction in the vendor expense account. But what would I do with my actual deposit transaction for the grouped checks including the actual vendor refund that has downloaded from our bank? Matches for the other checks in the bank deposit are coming up, but nothing comes up for the refund check.....

How can I process a refund check from a vendor when the refund is deposited along with other checks?

I can help you make sure that you process that refund check from the vendor.

We can easily resolve this because you are actually on the right track! You just need to add a few more steps to what you are already did in QuickBooks Online.

When you create the deposit, instead of creating a deposit just for that vendor, you can add all the details for your actual deposit transaction. You just need to make sure that you enter the correct information in each column (RECEIVED FROM, ACCOUNT, AMOUNT, etc.) for each line item. I've attached a screenshot for your reference.

This allows you to record the actual deposit transaction in QuickBooks Online, so that you can match it to your downloaded transaction. Not only that, but you can still link the deposit to the vendor credit to zero out the balance of this vendor.

That's it! You will be all set after recording the deposit.

I'm happy that I was able to help you out. You are always welcome to reach out to me again if you have any other questions.

How can I process a refund check from a vendor when the refund is deposited along with other checks?

I can help you make sure that you process that refund check from the vendor.

We can easily resolve this because you are actually on the right track! You just need to add a few more steps to what you are already did in QuickBooks Online.

When you create the deposit, instead of creating a deposit just for that vendor, you can add all the details for your actual deposit transaction. You just need to make sure that you enter the correct information in each column (RECEIVED FROM, ACCOUNT, AMOUNT, etc.) for each line item. I've attached a screenshot for your reference.

This allows you to record the actual deposit transaction in QuickBooks Online, so that you can match it to your downloaded transaction. Not only that, but you can still link the deposit to the vendor credit to zero out the balance of this vendor.

That's it! You will be all set after recording the deposit.

I'm happy that I was able to help you out. You are always welcome to reach out to me again if you have any other questions.

How can I process a refund check from a vendor when the refund is deposited along with other checks?

Hi IntuitAldrin,

Thanks a million for this quick and helpful response! This makes a lot more sense. I followed your directions and input all of the check details for the bulk deposit. The refund check deposit, I was then able to link with the vendor credit - I used "Expense" under Vendors in the + menu, to do that. And the downloaded deposit transaction from the bank matched with the set of deposits that I entered. Really appreciate your help!

How can I process a refund check from a vendor when the refund is deposited along with other checks?

this is not helping me at all. I have created a vendor credit and a vendor deposit. Everything is linked and showing appropriately except my downloaded check is sitting in the pre-register for the bank and there is still nothing to link it to. Can anyone help me?

How can I process a refund check from a vendor when the refund is deposited along with other checks?

I decided to delete the vendor credit. I created a deposit from the vendor on the "cost of goods sold" account and matched it to the check. The vendor record doesn’t show the transaction for some reason but the check is in the check register and it has the deposit slip as a match. I put a note on the original purchase invoice indicating there was a refund applied and noted the date so I could find it if need be and the vendor shows a 0 balance.

I might try again next time I have one, but this seems too complicated.